Lenovo acquired IBM x86 server business before and after

[YORK net server channel exclusive] http://www.aliyun.com/zixun/aggregation/33721.html"> January 23, 2014 afternoon, Lenovo Group announced that it has signed an agreement with IBM to 2.3 billion US dollars 10246.html "> Acquisition of IBM X86 server hardware and related services maintenance business. According to the agreement between the two companies, the $ 2.3 billion purchase price includes $ 2.07 billion in cash and a directional distribution of 182 million shares of Legend Group to IBM. This should be the first major event in the IT industry in 2014, recalling that nine years ago Lenovo 2005 acquired IBM's PC business for $ 1.25 billion. Although this acquisition did not buy explosive PC business, but also enough to write history, because this is the second time Lenovo and IBM to start the acquisition of business. Lenovo is the representative of Chinese enterprises that carry out international business. The fact that IBM sold hardware business twice also declares the transformation of IT industry.

x86 server industry background

At present, China's server market is basically monopolized by IBM, Hewlett-Packard and Dell, and local server vendors are just supporting roles. However, the rise of Chinese manufacturers in 2013, of which Lenovo, Huawei and other representatives began to compete with international companies. Going to IOE in 2013 became a card for domestic manufacturers to expand their market. And domestic manufacturers in technology research and development investment is unprecedented, Lenovo PC market access in the leading after the start of the layout of enterprise-class business, the server market is a big piece. Huawei's business operations such as servers, storage and networking achieved remarkable success in 2013. The dawn and the tide in the domestic host application market is triumphant.

Currently the server industry is already in the Red Sea market, the days of brand server vendors is not too good. Server market more and more detailed, micro-server, high-temperature servers and so on. x86 server threshold is not high, homogenization is more serious, x86 meager profits. Pure sales of hardware can no longer bring ideal profit for server manufacturers. In addition, most of the data center construction cost considerations are based on their own design plus ODM way, cloud computing business model is no longer the enthusiasm of the procurement server. x86 server market is no longer a high-profit project, manufacturers are facing more competition in the shipments and price wars.